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Brand Management


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An overview of Brands and Branding

An overview of Brands and Branding

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  • 1. BRANDS
  • 2. 22 Immutable laws of Branding
    Rhys & Rhys
  • 3. Law of expansion
    The power of a brand is inversely proportional to its scope
    When you put a brand on everything, that name loses its power
  • 4. Law of contraction
    A brand becomes stronger when you narrow its focus
    Narrow focus
    Stock in depth
    Buy cheap
    Sell cheap
    Dominate the category
  • 5. Law of publicity
    Brands are build with publicity and maintained with advertising
    Best way to make news is to advertise a new category, not just a new product
    Eg- Lotus notes – the 1st successful groupware product
  • 6. Law of advertising
    Kicks in when a brand outlives its publicity potential
    Brand leaders must advertise leadership. Leadership indicates the product is better.
    Keeps away the competition
  • 7. Law of the word
    Focus on owning a word in the prospects’ mind. A word nobody else owns.
    Your brand owns the category name when people use the brand generically.
    (is that good?)
    Premium product
    Make it expensive
    Find a subtle way to communicate exclusivity
  • 8. Law of credentials
    Customers are suspicious and they tend to disbelieve your claims.
    When you have the right credentials, the prospect is likely to believe you
    Have a good track record and communicate it.
  • 9. Law of quality
    Build a powerful ‘perception’ of quality in the customers’ mind
    High price
    Narrow focus
    Use the word ‘quality’
    Build as much quality as you can afford
    Differentiate looks
  • 10. Law of the category
    Leading brand should promote the category, not the brand
    Use words like leader, pioneer, original, first
    Rise of competitors stimulates consumer interest
    The ‘rightful’ share of a leader is not more than 50%
  • 11. Law of the name
    In the long run, a brand is nothing more than a name
    Generic names are no good
    The leader is not necessarily a high quality product but a high quality name
  • 12. Law of extensions
    The easiest way to destroy a brand is to put the name on everything
    If the market is moving, stay where you are and launch a second brand
    If not, stay where you are and build your brand
  • 13. Law of fellowship
    Not only should the dominant brand tolerate competitors, it should welcome them
    Choice stimulates demand
    Market share is based on the brand in the mind, not on merit of the product
  • 14. Law of the generic
    One of the fastest way of failure is to give a brand a generic name
    GE, IBM, 3M, GM
  • 15. Law of the company
    Brands are brands. Companies are companies. There is a difference
    Should the company name dominate or the brand name?
    The brand should be the focus of attention.
    If you have to use the company name, do it in a decidedly secondary way.
  • 16. Law of subbrands
    What branding builds, subbranding can destroy.
    Subbranding, masterbranding and megabranding are not customer driven concepts
  • 17. Law of siblings
    There is time and space to launch a second brand
    The key is to make each brand a unique individual with its own identity
  • 18. Law of siblings
    Focus on common product area
    Select a single attribute to segment
    Set up rigid distinctions among brands
    Create different, not similar brand names
    Launch to create a new category, not to fight with competition
    Keep control at the highest level
  • 19. Law of shape
    Brand’s logotype should be designed to fit the eyes.
    Advantages of using the symbol alone are slim and occur in certain situations.
  • 20. Law of colour
    A brand should use a colour that is opposite of its major competitor’s.
    Focus on the mood you want to create
    Colour consistency is important
  • 21. Law of borders
    There are no barriers to global branding
    Keep the brand’s narrow focus
    Be the first
    Product needs to fit the perception of its country of origin
    Changes must be made to accommodate local languages and cultures
  • 22. Law of consistency
    Markets may change, but brands shouldn’t
  • 23. Law of change
    Brands can be changed, but only infrequently and very carefully.
    Brand is weak or nonexistent in the mind
    Moving the brand down
    Change takes place slowly to take advantage of a slow moving trend
  • 24. Law of morality
    No brand will live forever
    Euthanasia is often the best solution
  • 25. Law of singularity
    The most important aspect of a brand is its single-mindedness
  • 26. Brand Asset Valuator
    Relevance – Breadth of a brand’s appeal
  • 27. Aaker’s Model
    Brand loyalty
    Brand awareness
    Perceived quality
    Brand associations
    Other IP
  • 28. BRANDZ
    Presence – Do I know about it?
    Relevance – Does it offer me something?
    Performance – Can it deliver?
    Advantage – Is it better than others
    Bonding – Nothing else beats it
  • 29. Intangible Asset Monitor
    External Structure
    Internal structure
    Karl – Erik Sveiby
  • 30. External Measures
    Market to book value
    Tobin’s Q: replacement cost of assets
    Valuation of free cash flows*
    Calculated Intangibles Value
  • 31. Brand Management at Unilever India
  • 32. UI has over 100 brands
    Cautious in creating new brands
    Locates positioning opportunities
    Every brand has to be viable on its own
    Constant brand rejuvenation
  • 33. Umbrella branding
    Food: Brooke Bond, Lipton, Kissan, Dalda and Kwality Walls
    Expanding Kissan even to basic food items
    Brooke Bond and Lipton in beverages
  • 34. Power brands
    Identified 30 power brands
    Includes future stars like Axe
    And niche leaders like Pears
    Current performance
    Competitive differentiation
    Future potential
  • 35. Other 80+ brands treated differently
    Regional brands - Hamam
    Unprofitable brands – Aim, Revel
    Overlapping brands – Breeze and Jai
  • 36. Case of Savlon
    Germicide segment of soap market was growing fast
    Dettol was the leader
    Lifebuoy was not expected to succeed
  • 37. Competitive Positioning
  • 38. Market leaders
    Expand the market
    New customers (new markets)
    More usage
    Expand market share
  • 39. Defend market share
    Position defense
    Flank defense
  • 40. Market challenger
    Market leader
    Other firms its size
    Small firms
  • 41. Price discounts
    Product improvements
    Product proliferation
    Distribution innovation
    Promotion intensification
    Cost reduction
  • 42. Market follower